Monro Muffler Brake plans to buy South River, N.J.-based Vespia Tire Centers, which has 24 stores in New Jersey and Eastern Pennsylvania.
Monro said it expects to close the deal by June 5. Vespia had net sales of approximately $36 million in 2010.
Monro said it intends to retain Vespia’s store employees.
“We are delighted that we have the opportunity to integrate the Vespia chain into the Monro business, which we believe will further broaden our market position and our strategy of achieving growth through reasonably priced, value-added acquisitions,” said Monro Chairman and CEO Robert Gross. “Vespia’s established store base in the New Jersey and Pennsylvania markets, with average sales of $1.5 million per location and loyal customer base, will help us to quickly expand Monro’s footprint in this densely populated market. Further, we have entered into this agreement on attractive terms which are consistent with our previously stated acquisition criteria.”
Vespia Tire owner Philip Vespia, who founded the business in East Brunswick, N.J., in 1977, had no comment on the deal.
Monro Muffler Brake operates 780 stores in 19 states under the trade names Monro Muffler Brake and Service, Mr. Tire, Tread Quarters, Discount Tires, Autotire and Tire Warehouse.